Paycom Financials

$101.3 M

Revenue Q3, 2017

$4.7 B

Mkt cap, 13-Dec-2017
Gross profit (Q3, 2017)83.5 M
Gross profit margin (Q3, 2017), %82%
Net income (Q3, 2017)14.1 M
EBIT (Q3, 2017)11.4 M
Cash, 30-Sep-201766.6 M
EV4.6 B

Financials

Market Value

Revenue/Financials

Income Statement

Annual

USDFY, 2014FY, 2015FY, 2016

Revenue

150.9 m224.7 m329.1 m

Revenue growth, %

49%47%

Cost of goods sold

27.3 m35.5 m54.1 m

Gross profit

123.6 m189.2 m275.1 m

Gross profit Margin, %

82%84%84%

Sales and marketing expense

63.5 m92.6 m119.3 m

R&D expense

4.3 m8.6 m21 m

General and administrative expense

35.5 m47.8 m69 m

Operating expense total

103.4 m149 m209.3 m

EBIT

9.7 m34.4 m58 m

EBIT margin, %

6%15%18%

Interest expense

3.4 m1.4 m1 m

Pre tax profit

9.7 m33.5 m57.2 m

Income tax expense

4 m12.6 m13.4 m

Net Income

5.7 m20.9 m43.8 m

Quarterly

USDQ2, 2014Q3, 2014Q1, 2015Q2, 2015Q3, 2015Q1, 2016Q2, 2016Q3, 2016Q1, 2017Q2, 2017Q3, 2017

Revenue

33.3 m36.6 m55.2 m49 m55.3 m90.1 m73.9 m77.3 m119.5 m98.2 m101.3 m

Cost of goods sold

6.4 m6.4 m8.3 m8 m8.9 m12 m11.9 m14.7 m17.1 m17.9 m17.8 m

Gross profit

26.9 m30.2 m46.9 m41 m46.4 m78.2 m62 m62.6 m102.4 m80.4 m83.5 m

Gross profit Margin, %

81%82%85%84%84%87%84%81%86%82%82%

Sales and marketing expense

13.7 m14.9 m21.2 m16.7 m23.8 m28.7 m24.8 m29.3 m36.8 m34.1 m35.5 m

R&D expense

937 k1.1 m1.9 m1.9 m2.3 m3.9 m4.2 m6.2 m6.8 m8.1 m8.1 m

General and administrative expense

8.1 m8.4 m12 m10.1 m12 m15.2 m15.2 m24.5 m17.8 m26.7 m26 m

Operating expense total

30.2 m31.9 m44.7 m38.2 m48.5 m61.4 m57.9 m76.7 m80.8 m68.8 m89.9 m

EBIT

3.1 m4.7 m10.5 m10.8 m6.9 m28.7 m16 m582 k38.7 m9.1 m11.4 m

EBIT margin, %

9%13%19%22%12%32%22%1%32%9%11%

Interest expense

674 k338 k332 k392 k343 k311 k170 k252 k257 k281 k220 k

Pre tax profit

(1 m)4.4 m10.2 m10.4 m6.6 m28.4 m16 m117 k38.5 m9 m11.3 m

Income tax expense

(444 k)1.7 m4.2 m4.5 m2.8 m9.8 m5.5 m(6.1 m)12.9 m(5.3 m)(2.7 m)

Net Income

(593 k)2.7 m6 m5.9 m3.8 m18.6 m10.4 m6.2 m25.6 m14.2 m14.1 m

Balance Sheet

Annual

USDFY, 2014FY, 2015FY, 2016

Cash

25.1 m50.7 m60.2 m

Accounts Receivable

2.8 m2.4 m1.3 m

Prepaid Expenses

2 m3.5 m4.5 m

Inventories

195 k1.1 m675 k

Current Assets

693.4 m761.1 m925.6 m

PP&E

47.9 m58.9 m96.8 m

Goodwill

51.9 m51.9 m51.9 m

Total Assets

798.9 m876.8 m1.1 b

Accounts Payable

3 m4.9 m3.7 m

Short-term debt

855 k886 k1.1 m

Current Liabilities

678.8 m727.5 m898.9 m

Long-term debt

26.1 m24.9 m28.7 m

Non-Current Liabilities

46 m50.9 m63.2 m

Total Debt

855 k25.7 m29.8 m

Total Liabilities

724.8 m778.5 m962.1 m

Additional Paid-in Capital

67.9 m71.1 m95.5 m

Retained Earnings

5.7 m26.6 m70.4 m

Total Equity

74.1 m98.3 m116.5 m

Debt to Equity Ratio

0 x0.3 x0.3 x

Debt to Assets Ratio

0 x0 x0 x

Financial Leverage

10.8 x8.9 x9.3 x

Quarterly

USDQ2, 2014Q3, 2014Q1, 2015Q2, 2015Q3, 2015Q1, 2016Q2, 2016Q3, 2016Q1, 2017Q2, 2017Q3, 2017

Cash

14 m18.5 m35.7 m42.7 m48.5 m72.1 m80.9 m74.5 m92.9 m60.2 k66.6 m

Accounts Receivable

906 k1.5 m1.7 m2.6 m3.4 m2.6 m2.8 m1.5 m1.8 m1.3 k1.4 m

Prepaid Expenses

1.6 m1.6 m3 m3.2 m2.4 m4.8 m4.1 m4 m5.4 m5.7 k

Inventories

519 k384 k718 k326 k639 k736 k441 k355 k499 k520750 k

Current Assets

336.5 m418.3 m633.6 m591.9 m671.2 m1.2 b1.1 b677.7 m1.1 b866.7 k876.5 m

PP&E

45.4 m46.6 m48.7 m50.1 m53.7 m67 m76.6 m87.3 m106.5 m117 k133.8 m

Goodwill

51.9 m51.9 m51.9 m51.9 m51.9 m51.9 m51.9 m51.9 m51.9 m51.9 k51.9 m

Total Assets

440.2 m523 m739.6 m699.2 m781.6 m1.3 b1.3 b821 m1.2 b1 m1.1 b

Accounts Payable

2.6 m2 m2.5 m3 m3.9 m5.7 m5.5 m4.9 m3.1 m3.4 k2.5 m

Short-term debt

893 k845 k862 k861 k875 k900 k911 k1.1 m1.1 m1.1 k1.2 m

Current Liabilities

329.4 m407.9 m613 m565.5 m641.6 m1.2 b1.1 b628.9 m1 b828.5 k837.6 m

Long-term debt

26.5 m26.3 m25.7 m25.4 m25.2 m24.7 m28.3 m29 m30.4 m33.5 k

Non-Current Liabilities

43 m44.4 m46.2 m47.3 m48.3 m51.5 m57.7 m61.1 m66.9 m72.4 k75.1 m

Total Debt

893 k27.2 m26.5 m26.3 m26.1 m25.6 m29.3 m30.1 m31.5 m34.6 k1.2 m

Total Liabilities

372.3 m452.3 m659.2 m612.8 k689.9 m1.2 b1.1 b690 m1.1 m900.9 k

Additional Paid-in Capital

66.9 m66.9 m68.2 m68.2 m69.7 m72.6 m76.1 m91.4 m99.5 m114.3 k129.8 m

Retained Earnings

467 k3.2 m11.7 m17.6 m21.5 m45.2 m55.6 m61.8 m96.1 m110.3 k124.4 m

Total Equity

67.8 m70.6 m80.4 m86.4 m91.7 m118.4 m128.8 m131 m146.2 m145 k157.3 m

Debt to Equity Ratio

0 x0.4 x0.3 x0.3 x0.3 x0.2 x0.2 x0.2 x0.2 x0.2 x

Debt to Assets Ratio

0 x0.1 x0 x0 x0 x0 x0 x0 x0 x0 x

Financial Leverage

6.5 x7.4 x9.2 x8.1 x8.5 x11.3 x9.8 x6.3 x8.3 x7.2 x6.8 x

Cash Flow

Annual

USDFY, 2014FY, 2015FY, 2016

Net Income

5.7 m20.9 m43.8 m

Depreciation and Amortization

7.2 m9.4 m13.6 m

Accounts Receivable

(1.1 m)440 k1 m

Inventories

267 k(224 k)418 k

Accounts Payable

(2.4 m)(431 k)(1.6 m)

Cash From Operating Activities

11.8 m43 m99 m

Purchases of PP&E

(14.3 m)(16.5 m)(43.8 m)

Cash From Investing Activities

(219.1 m)(52.3 m)(205.1 m)

Long-term Borrowings

(65.7 m)(1.1 m)(964 k)

Cash From Financing Activities

208.5 m34.9 m115.5 m

Interest Paid

3.5 m1.3 m938 k

Income Taxes Paid

2 m19.2 m9.3 m

Quarterly

USDQ2, 2014Q3, 2014Q1, 2015Q2, 2015Q3, 2015Q1, 2016Q2, 2016Q3, 2016Q1, 2017Q2, 2017Q3, 2017

Net Income

(593 k)2.7 m6 m11.9 m15.8 m18.6 m29 m35.2 m25.6 m39.8 m53.9 m

Depreciation and Amortization

1.1 m1.2 m1.3 m4.4 m6.8 m2.9 m6.1 m9.7 m4.3 m9 m13.9 m

Accounts Receivable

799 k237 k1.1 m242 k(592 k)(226 k)(421 k)875 k(508 k)(464 k)(105 k)

Inventories

59 k195 k(523 k)(131 k)245 k423 k652 k963 k176 k434 k(75 k)

Accounts Payable

(2.4 m)(3 m)(515 k)(970 k)(850 k)(1.2 m)2.6 m(3.7 m)(1.3 m)(319 k)(1.5 m)

Cash From Operating Activities

5.9 m13.3 m13.1 m22.8 m34.1 m29.9 m54.6 m74.4 m40.2 m55.3 m92.4 m

Purchases of PP&E

(9.3 m)(11.9 m)(2.5 m)(4.9 m)(10.2 m)(8.4 m)(24.3 m)(32.1 m)(9.1 m)(21.9 m)(42.9 m)

Cash From Investing Activities

130.9 m50.2 m66.9 m113.2 m34.9 m(437.3 m)(362 m)71.5 m(101.9 m)49.3 m22.6 m

Long-term Borrowings

(65.2 m)(65.4 m)(464 k)(682 k)(897 k)(224 k)(448 k)(702 k)(282 k)(562 k)(843 k)

Cash From Financing Activities

(136.2 m)(58.4 m)(69.5 m)(118.5 m)(45.6 m)428.7 m337.6 m(122.2 m)94.4 m(96.7 m)(108.6 m)

Net Change in Cash

606 k5.1 m10.5 b17.5 m23.4 m21.4 m30.2 m23.8 m32.8 m8 m

Ratios

USDY, 2017

EV/EBIT

403.3 x

EV/CFO

49.9 x

Revenue/Employee

48.8 k

Financial Leverage

6.8 x

Operating Metrics

Paycom's Customers was reported to be 17.8 k in FY, 2016, which is a 19% increase from the previous period
Q1, 2014Q2, 2014Q3, 2014FY, 2014Q1, 2015Q2, 2015Q3, 2015FY, 2015Q1, 2016Q2, 2016Q3, 2016FY, 2016Q1, 2017Q2, 2017

Sales Teams

3131313136363636424242424345

Customers

11 k12.78 k15 k17.82 k

Annual Revenue Retention Rate

91%91%91%